CNG, electric buses to run under their own corporation

THIRUVANANTHAPURAM: A new transport corporation for the operation of CNG and electric buses will come into existence next month. This sub-corporation of KSRTC will be responsible for the procurement of CNG and electric buses, arrangement of services and deployment of staff. Biju Prabhakar will be the M.D. The headquarters of the new corporation will be at Anayara or Enchaikkal in Thiruvananthapuram. This will be the third road transport corporation in the state. KURTC exists for JNNURM buses.

It was the Finance Ministry which directed the Transport Department to form a corporation on the same model. KIIFB will provide `Rs 286 crore for the purchase of 310 CNG buses and 50 electric buses. The formation of the new corporation is because of the view that the KSRTC might find it difficult to repay the amount. The company is required to repay the full amount after expenses such as fuel and salary from its income to the KIIFB. The interest rate is four per cent. KURTC was formed in November 2014 when the Central Government provided free JNNURM buses. The corporation has 420 buses and is headquartered in Thevara, Ernakulam.